In today’s world, new technologies are being deployed for the further development of communities through fundraising programs. These programs aim to cater to the needs within the communities to lift-up those who are in dire need of income to fulfill their daily needs. Like the old Chinese proverb says – “don’t give a fish to the poor, but teach them how to fish“.
While traditional fundraising does cater to these needs to a certain level, many times such fundraising is aimed for specific projects rather than empowerment of the whole community. This leads to certain groups within the community to be marginalized even within such programs. In order to fill such gaps, Finterra has identified unique means through Islamic social finance (Sadaqah, Infaq, Zakat & Waqf) solutions to design and develop community enablement programs that benefits grass-root communities.
Via crowdfunding on Finterra’s MyWaqf platform, cash waqf capital funds can be raised for focused business activities, to develop an industry that would support, knowledge transfer, employment/jobs, zakat payments, and availability of primary goods and services to the community.
Finterra’s community enablement programs are aimed at identifying the most marginalized, low-income groups within communities in order to provide them with opportunities to increase their income or even earn additional income. These programs are based on the principles of Cash Waqf where participants contribute to a Cash Waqf Fund through which communities are provided with assets or facilities to generate income accordingly. For example, the Company has successfully conducted such a program in Faizabad in Uttar Pradesh, India where Cash Waqf funds were raised in order to purchase electric rickshaws for 10 families in the community. These rickshaws are then leased to low-income earners who utilizes them to earn additional income for their families in order to become more self-sufficient and more productive members of the community. Due to the success of this program, Finterra has also launched Phase II of this program in order to offer such enablement to more families in the area.
Finterra’s aim has been to utilize the concept of Cash Waqf for such projects that empower communities to become less reliant on government subsidies and hand-outs. With the belief that Islamic social finance such as Cash Waqf can be strong tools for enabling communities, Finterra is working closely with government institutions as well as private entities in order to develop such programs that leads to healthier financial inclusion for all members within our communities. To achieve this, the Company is currently working closely with entities from countries in India, Nigera and even Malaysia to develop such programs targeted to raise up communities as a whole for stronger economies as well.
*Article title image source: http://www.govinsider.asia